# Loan Management

Pocket HRMS software allows you to provide loans to your employees. It can be included as a regular deduction component to their salary. 

An admin or HR can select or deselect interest application on a loan. If the admin chooses to deduct loan installment along with interest, the employee then needs to provide monthly installments plus the interest amount.

Whereas, Pocket HRMS dashboard makes it very easy to apply and configure loans for employees and admin respectively. 

#### Pre-requisites:

:heavy\_check\_mark: Admin credentials

:heavy\_check\_mark:User rights

***Note** - Kindly contact your Admin/ HR for rights if you are not able to perform the steps below.*

### **How to allow Loan request for employees?**

**Step 1:** Go to 'Settings'

![](/files/-MYB57iajeS4QFQgMDr4)

**Step 2:** Select 'Payroll' 

![](/files/-MYB5FyXtidoExiOeHpZ)

**Step 3:** Proceed to 'Salary Components' and select 'Deductions' from deduction details as shown in the screenshot below.

![](/files/-MYB5K6i_N4xpHpHTD2w)

**Step 4:** Find 'Loan Deduction' under the deductions column

![](/files/-MYB5UT6sku1RSX_rvlm)

**Step 5:** After selecting loan deduction, a page - Field Details & Behavior will open. Fill in the required details and check 'Installment' to allow or disallow loan requests. 

![](/files/-MYB5YRKaeohPCMdsBza)

After successfully filling in details, click on 'Save'. 

### **How to add a new employee loan?**

**Step 1:** Go to 'Employee'

![](/files/-MYB5aglga39Q9KFEOaB)

**Step 2:** Follow 'Employee' > 'Employee List'

**Step 3:** Select your employee by clicking on their profile or 'Employee Filter' as shown below.

![](/files/-MYB5gI6mCvoDD-t0-9Z)

**Step 4:** Once the loan applicant's/ employee's profile opens, proceed to the 'Payroll' column. 

![](/files/-MYB5koG8Z337f356r19)

Now, a page showing loan details will appear. Here you can add new details by clicking on '+' button as shown in the screenshot below. 

**Step 5:** Fill in the details like loan date, apply year and date, loan amount, and number of installments. After you have entered all the required data, click on 'Save'. 

![](/files/-MYB5oStwkHDRdnInhOB)

***Note:** If you are unable to manage loans, kindly contact us at* [*support@pockethrms.com*](mailto:support@pockethrms.com) 


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